The African Development Bank Group approved a $200 million (₦279.6 billion) loan to support a nationwide fibre expansion programme by Nigeria aimed at accelerating connectivity, skills development and job creation.
The funding forms part of a broader $800 million sovereign financing package backing the Digital Value Chain Infrastructure for Boosting Employment (D-VIBE) Project, a flagship initiative designed to close Nigeria’s connectivity gaps and unlock growth across its digital economy.
The project is an ambitious plan to deploy 90,000 kilometres of open-access fibre infrastructure, expanding Nigeria’s national fibre backbone from about 30,000 km to 120,000 km. The rollout is expected to connect all 774 Local Government Areas, linking schools, healthcare facilities, rural communities, agro-industrial zones and commercial centres to high-speed broadband.
The AfDB’s financing sits alongside $500 million from the World Bank and $100 million from the European Bank for Reconstruction and Development, with total project costs estimated at $2 billion. Additional support includes a €22 million grant from the European Union, a $2.6 million project preparation grant from the Multilateral Cooperation Center for Development Finance, and at least $1.2 billion expected from private sector investors.
AfDB investment signal confidence in Nigeria’s digital economy
The investment signals renewed confidence from development finance institutions in Nigeria’s digital economy, which continues to grow as a key contributor to GDP in Africa’s largest market, according to the Nigerian government.
The AfDB’s financing sits alongside $500 million from the World Bank and $100 million from the European Bank for Reconstruction and Development, with total project costs estimated at $2 billion. Additional support includes a €22 million grant from the European Union, a $2.6 million project preparation grant from the Multilateral Cooperation Center for Development Finance, and at least $1.2 billion expected from private sector investors.
Structured as a public-private partnership, the project will be implemented through a Special Purpose Vehicle, with public ownership capped between 25% and 49%, while private investors are expected to hold between 51% and 75%.
The model is designed to address longstanding barriers to fibre rollout, including high construction costs and Right-of-Way challenges, which have historically slowed broadband expansion across Nigeria.
Beyond infrastructure deployment, the D-VIBE project also targets demand-side constraints through large-scale digital skills programmes, improved access to affordable devices, and support for digital platforms in priority sectors. It will also incorporate cybersecurity measures, promote market competition, and integrate hybrid and renewable energy solutions to improve network resilience.
In parallel with infrastructure rollout, the Federal Government is embedding a research-driven approach into Project BRIDGE implementation. Last month, it opened an Expression of Interest for a National Digital Economy Research Cluster programme aimed at ensuring that Nigeria’s digital transformation is guided by data, evidence and locally grounded insights.
Under the initiative, eligible institutions are invited to submit proposals across six thematic areas: Connectivity and Access, Digital Public Infrastructure, Digital Skills and Inclusion, Digital Economy and Jobs, Trust and Online Safety, and Artificial Intelligence. Each research cluster carries an indicative budget of $1.5 million, signalling a structured effort to align policy, infrastructure and innovation through evidence-based planning.
Abdul Kamara, Director General of the AfDB’s Nigeria Office, underscores the transformative potential of the initiative, saying: “Nigeria has the talent, the market, and the ambition; what it has lacked is the backbone infrastructure to connect that potential to opportunity. D-VIBE changes that. From the north to the south, from farms to factories to classrooms, this investment will make high-speed connectivity a reality for every Nigerian community and give young people the tools to build their futures digitally.”
The project will be coordinated through a working group of development finance institutions, co-led by the Nigerian government and the AfDB, to align technical design, financing and implementation.
Projections show the initiative could create up to 2.8 million jobs over its lifecycle, while raising Nigeria’s broadband penetration from 45 per cent to around 70 per cent by 2030.
D-VIBE aligns with Nigeria’s long-term development priorities, including Vision 2050 and the Renewed Hope Development Plan (2026–2030), as well as continental frameworks such as the African Union’s Agenda 2063 and the AfDB’s Ten-Year Strategy (2024–2033).
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